Why is Value Based Selling Important?

Why is VALUE BASED Selling Important?

In today’s modern world of selling, the process of selling can be best described as gravitating towards definite forms of segmentation based on clearly defined levels compartmentalisation.

Never before has the salesperson been faced with choices as to whether they should sell in retail, which can be anything to a one person store to being part of a team of hundreds in a department store. There are also the specialised traders that deal in selling white goods and electrical appliances that also say they are selling retail. And the hundreds of other alternative stores that dabble anywhere from a boutique proposition to a variety of service based set-ups that also call themselves retail.

Then there’s the direct selling industry. Some of this is done business to business, some is classified as in-home selling and other segments are considered to be specialised forms of selling that may include a combination of selling in a retail shop, at the office, in the small business workshop or in the home. Industries such as blinds, carpets, flooring, wall panelling, investment and home-loan lenders fall into this category.

The business to business industry on the other hand can also be as highly segmented and compartmentalised as the ones listed above. Here we have specialised B2B (business to business) sellers, others that specialise in selling ‘corporate,’ yet others concentrate on ‘SME’s’ (small to medium business enterprises) and others on the small business sector generally made up of one or two partners or the huge amount of ‘mum and dad’ type ventures. And here we also have the those that are considered ‘relational sellers’ because they work a territory over and over developing relationships and getting to know the intricacies of the businesses they call on, and also the ‘one-call’ sellers that sell in a unique fashion that requires them to ask for the business on the first call.

Having said all of that, we need to also pay attention to those specialist sellers that sell anything from home extensions, reseal and colour drive-ways, design and build kitchens, fences, or install TV antennas or rewire houses for the installation of networked computers, sound systems and security systems, plus a host of others in similar but not related industries.

All of these selling sectors have one thing in common. They all focus on selling their speciality, whether it be goods or services, or goods and services, to a consumer willing to spend on something important to them.

What should also be said here, is that many of those being sold to are not aware at the time that they need the goods or services, or the goods and services they are being presented.

That’s why sellers are employed by every kind of industry.

So Let’s Look at Some of the Alternatives

Now let’s consider another scenario. If there is no seller, the consumer feels they are in charge of what they purchase. That’s the main reason for the growth of the internet. However, this same medium, the internet, to so many of those using it today, does not generally provide them what they are looking for unless they get more detailed information from someone in the selling field before they get on the internet.

Clothing as an Example –

Here’s how it works. Someone goes into a department store to buy clothing, tries it on, it feels just right but they consider the price is a little too high. They now have the size, colour and make, but not the price they are willing to pay, so they go on the internet and shop around for the same item ‘at a better price.’

Computers as another Example –

Again here’s how it works. I want to buy a computer, and I’ve read a few of the computer books available, read the statistical comparisons and reports, surfed the internet, but after all of that I am more confused than ever. So I simply go to a computer store to ‘pick the brains of the computer expert.’ Once I have the information I need, and have some idea of the configuration I need to get onto the internet with, I am able to do a reasonable comparison and work out who will give me ‘a better price.’

Jewellery as yet another Example –

Again here’s how it works. I want to buy a good watch, so I select a narrow range of brands off the internet, have to find a jeweller who stocks that brand before I can go to a jeweller (or more than one jeweller) and physically compare the watches I want to look at. I ask many questions, some of which the jeweller is unable to answer as well as I would have liked so now I am back on the internet. I even go to a nearby duty free store to ‘pick some more brains,’ as I am narrowing down what I think I want. In the process I learn that the best price is not at the duty free store. It’s at the last jewellers I visited, but I didn’t like the knowledge level of the salesperson. Besides, why should I invest over $2,000 with someone I have no faith with? So I am back on the internet for ‘the best price’ only to be warned by a friend that I need to be sure I am buying a genuine watch and not one of those really well made copies.

Each of those scenarios are real. Each one of those situations are real. Each of the people described here are real too. What concerns me is this. IF EACH OF THE STAFF THAT WERE CONTACTED REALLY UNDERSTOOD HOW TO SELL, THE NEED FOR A BETTER PRICE ON THE INTERNET MAY NOT HAVE BEEN AN ISSUE.

The Above Examples Have a Story to Tell

Having described all of what has been written in the above three examples, is what has prompted me to write this book. Because I see two glaring things that need to be addressed here.

They are:

If the store staff understood how they selling process worked peculiar to their speciality, then in most cases there would not have been a need for the prospect to get on the internet for a ‘better price.’ The store staff would have simply diffused the questions and in turn could have provided the prospect with enough reasons to spend the money in the store they were already in.

If the store staff had been trained to understand how value-based selling worked and the benefits of finding out the values each of the three above prospects wanted to satisfy in order to make the purchase not one of the prospects would have deemed it necessary to look for an alternative location to do business in.

Now if all of this sounds simple, it is. That’s right, it is – when you know how.

The purpose of this book is to teach you how. But unfortunately, as simple as the principle to everything we write about here is, the real factor is that the individual needs to learn how to apply the principles of Value-Based Selling to individual scenarios.

Just as this chapter began with four lengthy paragraphs of the obvious forms of segmentation based on clearly defined levels compartmentalisation in the selling we recognise as modern selling designed around today’s prospects, it is vital to understand that each sector will have a unique way of dealing with all things associated in that sector, as well as the more obvious forms of compartmentalization within that specific segmentation of selling.

It is therefore important that this book be read in its entirety, at least once, before a personalised plan of action is embarked on based on the analysis derived from what has been read and understood. Because as sure as night runs into day, each subsequent reading after you have trialled your theories will expose a new theory as to how it can work for you.

The good new is, that once you trial your theories you will have some practical experience to draw on that will greatly help you create a style of value-based selling that you could have previously only dreamed of.

This Article is by Peter Collins – In a sales career spanning more than 53 years, Peter Collins has focused on helping and bringing out the best in others – whether it involves training or mentoring salespeople, managers, business consulting to SME’s. Since the 1970’s Peter has built a reputation as a Nationally and Internationally Published author, and has 68 business books to his credit, but he is mainly known for one book based on the Audio Tape series of the same name, Over 50 Ways of Closing the Sale. Peter had his first book published in 1969 and now has over 133

books in all, including Business, Marketing, Sales, Free Publicity, Body Language, Music and over 30 Christian books to date. Peters books have sold over 2.5 Million copies over 48 years. In his personal life, Peter has been sought after as an encourager and motivator that has given of his time and talents freely despite his busy schedule. Subsequently, he has assisted churches, pastors, community and charity groups, as well as individuals through his teaching, training, development and on-going mentoring.